A corporation is a form of business ownership where the organization is a separate and distinct legal entity from the business’ owners, who are called shareholders. This legal distinction between business and owner creates several opportunities for both tax planning and creditor proofing.
In Alberta, the Business Corporations Act governs the creation, operation, and dissolution of corporations. Other provinces and the federal government have equivalent legislation. Incorporation documents must be completed and registered with the Corporate Registry to create and maintain a corporation.